EPS Pension Calculator
Calculate your Employee Pension Scheme benefits instantly. Compare Higher Pension Scheme with 15K capped pension to make informed retirement planning decisions.
Pension and Withdrawal Summary
| Higher Pension Scheme | 15K Capped Scheme | |
|---|---|---|
| Monthly Pension Amount | ₹0 | ₹0 |
| EPF Withdrawal Amount | ₹0 | ₹0 |
EPS Corpus Amount
| Higher Pension Scheme | 15K Capped Scheme | |
|---|---|---|
| Initial EPS Contribution | ₹0 | ₹0 |
| Latter EPS Contribution | ₹0 | ₹0 |
| Total EPS Contribution | ₹0 | ₹0 |
EPF Corpus Amount
| Higher Pension Scheme | 15K Capped Scheme | |
|---|---|---|
| EPF Employee Contribution | ₹0 | ₹0 |
| EPF Employer Contribution | ₹0 | ₹0 |
| Total EPF Amount | ₹0 | ₹0 |
Calculation Summary
Years of Service: 0 years
Average Salary (Last 60 months): ₹0
Total Retirement Corpus (Higher): ₹0
Total Retirement Corpus (15K Capped): ₹0
Understanding EPS (Employee Pension Scheme)
The Employee Pension Scheme (EPS) is a social security initiative by the Government of India, managed by the Employees' Provident Fund Organisation (EPFO). It provides pension benefits to employees working in the organized sector upon retirement, disability, or to their family members in case of death.
Key Features of EPS
-
•
Contribution Rate: 8.33% of employer's EPF contribution
-
•
Retirement Age: 58 years (can be extended to 60)
-
•
Minimum Service: 10 years for pension eligibility
-
•
Maximum Pension: Based on pensionable salary and service
Types of Pension Benefits
-
•
Superannuation Pension: Monthly pension after retirement
-
•
Disability Pension: In case of permanent disability
-
•
Widow/Widower Pension: For spouse after member's death
-
•
Child Pension: For children up to 25 years of age
Higher Pension Scheme vs 15K Capped
Since September 2014, EPS contributions are capped at a salary of ₹15,000. However, employees can opt for the Higher Pension Scheme where contributions are based on actual salary, leading to higher pension benefits but also higher contributions from both employee and employer.
- • 15K Capped: EPS contribution = 8.33% of ₹15,000 = ₹1,250/month maximum
- • Higher Pension: EPS contribution = 8.33% of actual salary (no cap)
Frequently Asked Questions
To be eligible for EPS pension, you must have completed at least 10 years of eligible service. The pension becomes payable from the age of 58 years. If you have less than 10 years of service, you can withdraw your EPS contributions as a lump sum.
EPS amount cannot be withdrawn before retirement if you have more than 10 years of service. However, if you have less than 10 years of service and are unemployed for more than 2 months, you can withdraw the corpus. For 10+ years of service, you'll receive a monthly pension after age 58.
The pension amount is calculated using the formula: Monthly Pension = (Pensionable Salary × Pensionable Service) / 70. The pensionable salary is the average monthly salary drawn during the last 60 months of service, and pensionable service is the number of years of eligible service.
EPS account is portable and continues even when you change jobs. You need to transfer your EPS account to your new employer using Form 13. Your service period gets accumulated across different employments, ensuring continuity of your pension benefits.
Yes, EPS pension is taxable as per your income tax slab. The pension amount is added to your total income and taxed accordingly. However, you can claim standard deduction and other applicable deductions while filing your income tax return.
Key Features
- Compare Higher Pension vs 15K Capped schemes
- Calculate monthly pension amount
- Estimate EPF and EPS corpus
- Factor in salary growth projections
- Accurate calculations as per EPFO rules
Important Note
This calculator provides estimates based on current EPS rules and your inputs. Actual pension amounts may vary based on:
- • Changes in government policies
- • Actual salary increments
- • Service breaks or gaps
- • Early or delayed retirement
Related Calculators
Disclaimer: This calculator provides approximate calculations based on the information provided. The actual pension amount may vary based on various factors including changes in EPFO rules, actual salary progression, and service continuity. For precise calculations, please refer to your EPFO passbook or consult with EPFO officials.